UK Politics

Ministers have stepped in to provide an emergency bailout to Jaguar Land Rover after the motor manufacturer was left reeling by a massive cyber attack.Chancellor Rachel Reeves has announced that she will provide the motor giant a £1.5bn loan guarantee to give it time to recover from the attack and protect the companies in its supply chain which have also been hit hard.The move comes as Labour opens its conference in Liverpool with Keir Starmer and his government under pressure to show they can govern effectively.Ms Reeves said: “Jaguar Land Rover is an iconic British company which employs tens of thousands of people – a jewel in the crown of our economy.Chancellor Rachel Reeves More

Sir Keir Starmer arrives in Liverpool this weekend, 16 months after winning a landslide victory, with his future as prime minister already seriously in doubt.It appears that the darling of the conference will be Greater Manchester mayor Andy Burnham, who is nakedly flirting with the idea of a parliamentary comeback to replace Sir Keir. Labour MPs are talking about ousting Sir Keir if the local and devolved elections in May don’t go well. But Nigel Farage is continuing to attract Labour voters in previously safe parts of the country with Reform enjoying a poll lead of around 10 per cent.The Labour leader my need to put on a brave smile this weekend More

Rachel Reeves has been dealt a blow by the Budget watchdog as it slashes estimates on a key economic indicator for the UK, raising fears the chancellor will need to hike taxes.On the eve of the Labour Party conference in Liverpool, The Independent can reveal that the chancellor has been told the Office for Budget Responsibility (OBR) will substantially reduce its estimates for productivity in the economy – which will lead to even lower economic growth. It means Ms Reeves will need to find even more money to balance the books, just weeks before her crucial Budget in November, putting further strain on the manifesto commitment not to raise one of the three big taxes – income tax, VAT or national insurance contributions from employees.She will also be left with a Budget deficit in 2030 which, economists warn, mean she has to raise taxes even higher than previously thought.Rachel Reeves is under severe pressure to balance the books but not raise taxes for ‘working people’ More

Members of the House of Lords are set to ignore warnings and push to attempt to kill off Kim Leadbeater’s assisted dying bill.Peers opposed to the controversial legislation which narrowly passed in the Commons have been emboldened by a new poll which suggests that 70 per cent think they have the right to vote it down.The move comes despite the Bill’s sponsor in the Lords, Labour peer Lord Falconer, warning it would be wrong for the unelected upper chamber to overrule the will of the democratically elected chamber.In an interview with the BBC, Lord Falconer was asked whether the role of the Lords was to “ultimately uphold something that the directly elected members of the Commons have decided to go ahead with”. He replied “That’s correct”.Kim Leadbeater introduced the assisted dying Bill to the House of Commons (Jonathan Brady/PA) More

Rachel Reeves is pushing for a more ambitious deal to unpick the harm Brexit did to the prospects of young people in the UK.The chancellor has revealed she wants to have “an ambitious youth experience scheme” to allow mobility for under-30s in and out of the UK, a move which she claimed would reduce the need for tax rises in the forthcoming budget. It would mean young people from the UK could go to live and work in the EU on temporary visas while young people from the EU would enjoy the same privilege the other direction.Chancellor of the Exchequer Rachel Reeves (right) speaking at the Global Progress Action Summit at Methodist Central Hall in Westminster (Stefan Rousseau/PA) More

A union leader is warning the government that there is widespread disappointment at Labour’s “failure” to deliver the scale and speed of change it promised at the general election.Matt Wrack, general secretary of the NASUWT teachers’ union, said there was frustration which was rooted in “decades of neglect” of communities hollowed out by deindustrialisation.He said: “The so-called ‘left behind’ communities are often talked about, but little is actually done to meet their hopes and their needs. In this bleak landscape, the far right stokes division — blaming migrants and refugees for the failings of the government and the economy.“Ignoring this wake-up call is currently likely to deliver further major blows to Labour at elections next May. The prospect of Reform in Government in some form is now not an unreasonable one.Matt Wrack More

The government must make sure that homes are built in the “right” parts of England as it looks to meet its ambitious housebuilding targets, a think tank has urged.The Resolution Foundation says the government will need to hit and sustain its target of creating 1.5 million new homes over this parliament and the next to alleviate mounting pressures on the private rental sector and temporary accommodation.The authors argued that the government faces a trade-off on whether to focus efforts on areas that are least affordable or those that have the greatest productivity potential.The think tank said that while some places, such as London, Oxford and Cambridge, “tick both boxes”, areas such as Greater Manchester and Birmingham with “huge productivity potential” hold the key to boosting economic growth.It argued that these areas should be prioritised over “pricier areas with low productivity potential”.The foundation argued: “These major cities may be relatively affordable now, but housing demand and cost pressures will increase as productivity grows if housing stock doesn’t keep pace.”Areas such as Greater Manchester hold the key to boosting economic growth, according to the think tank More

Labour’s new chair has claimed the party’s MPs are frustrated with Andy Burnham’s leadership manoeuvrings ahead of the party’s annual conference this weekend. As she called for unity, Anna Turley said Labour MPs questioned the Greater Manchester mayor’s “motivations” a day after Keir Starmer attacked his economic policies and compared him to Liz Truss. Chancellor Rachel Reeves also hit out at his fiscal policy suggestions late on Friday.The Labour infighting, which has been bubbling for weeks, erupted in public after Mr Burnham said Labour MPs had privately urged him to challenge Sir Keir Starmer for the party leadership. Speculation about Mr Starmer’s future, as his party trails Nigel Farage’s Reform UK in the polls and is expected to have to raise taxes in November’s Budget, is expected to dominate the event in Liverpool. Prime minister Sir Keir Starmer, left, pictured with mayor of Greater Manchester Andy Burnham More